As Australia’s population is ageing, a shift is occurring – planning for your own parent’s later years is becoming an ever-increasing reality. By 2060, a quarter of Australia’s population will be over 65. Source: By 2060, Australia’s population likely to reach 42 million, says Productivity Commission paper.

With this growth in the aged population, you may need to consider these options for your own parents. 
1. Choice – if your parents’ lose their mental capacity, they may not be in a position to make decisions.1

2. Family dynamics – who will take on the responsibility should one or both parents be incapacitated.
3. Tax consequences – If not planned for correctly it may trigger tax consequences which may have been avoided.
4. Estate plans – may be compromised with unexpected costs and can cause conflict at a later time.
5. Retirement plans – may not allow for the costs of aged care and result in financial hardship.

Family discussions are an important element of planning for the later years of your parent’s lives.  Some of the questions that may assist in planning include:

1. What are the expectations each of you have in the event your parents’ need help?

2. What are your parent’s expectations for how they would want to handle long term care if it occurred?
3. Do your parents have adequate resources to cover the cost of paid caregivers?
4. Will daily care of a parent impact your own retirement plans?
5. Which of you would be the likely caregiver and why?

This discussion will lead to better planning so that your parents may enjoy the later years of their lives with grace and dignity –  whilst avoiding potential family conflict.

If you would like to discuss your parents’ aged care plan, please contact us on 0499976058.

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Disclaimers & Disclosures

Geoff Ivanac is Sub-Authorised Representative No. 000309751 of GPS Wealth Ltd (GPS) ABN 17 005 482 726 Australian Financial Services Licence (No 254 544) and can provide the following services financial planning, risk management, managed investments, superannuation and retirement planning, margin lending and self-managed superannuation funds.

The information provided on this website has been provided as general advice only. We have not considered your financial circumstances, needs or objectives and you should seek the assistance of your GPS Wealth Ltd (GPS) Adviser before you make any decision regarding any products mentioned in this communication. Whilst all care has been taken in the preparation of this material, no warranty is given in respect of the information provided and accordingly neither GPS nor its related entities, employees or agents shall be liable on any ground whatsoever with respect to decisions or actions taken as a result of you acting upon such information.

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Geoff Ivanac is Sub-Authorised Representative No. 000309751 of GPS Wealth Ltd (GPS) ABN 17 005 482 726 Australian Financial Services Licence (No 254 544) and can provide financial planning, risk management, managed investments, superannuation and retirement planning, margin lending and self-managed superannuation funds.

Everblue Consulting Pty Ltd is Corporate Authorised Representative No. 000450221 (‘CAR’) of GPS Wealth Ltd. ABN 17 005 482 726, an Australian Financial Service Licence holder (No 254 544)

GPS Wealth Ltd (GPS) ABN 17 005 482 726 is the holder of an Australian Financial Services Licence (No 254 544) and an Australian Credit Licence (No. 254 544) under which GPS is authorised to carry on a financial services business which includes the provision of financial product advice, dealing in financial products and the provision of credit assistance services.